Student loan ombuds focused on helping borrowers navigate shifting rules, changes in repayment laws

July 14, 2025

Salem – Student loan borrowers faced significant confusion and frustration this past year in navigating the shifting landscape of loan repayment and forgiveness programs, according to a new report issued by Oregon's student loan ombuds. Federal student loan repayment and forgiveness options continued to be challenged in court and intermittently available, according to the report.

Lane Thompson, who has served as Oregon's student loan ombuds since the position's creation more than three years ago, said the past year has been the most challenging yet.

“Because the rules continue to change, it leads to frustration and confusion for both borrowers and servicers. The ongoing nature of the changes has compounded these sentiments from borrowers," Thompson said. “Forced collections resumed in May, so many borrowers are feeling the potential consequences of their student loan debt for the first time in five or more years. Another change, announced since the report was published, will also result in additional costs for borrowers."

Part of the Oregon Division of Financial Regulation, the student loan ombuds is tasked with helping guide borrowers through their options and navigate the confusing student loan landscape. Thompson recently posted the program's third annual report.

Two major takeaways from the report are:

• Servicers are difficult to reach.
• People pursuing federal loan benefits – who tend to be low income, public servants, and people with disabilities – are most affected by servicers' lack of clarity
  

into year four, Thompson said she is hopeful that her work will help keep servicers on track during a time when financial entities have less federal oversight.

“The continuously changing rules result in less clear expectations for servicers, and makes regulatory oversight even more crucial. The chilling effect created by federal changes means state regulators are more important than ever," Thompson said. “Helping people understand their rights and responsibilities is also key."

Thompson said the other area where her position is having an effect is in helping student loan borrowers avoid scams.

“Scam attempts increase during times of financial upheaval, and one goal of the licensure structure is to help Oregon's consumers check the legitimacy of collection attempts," she added.

Thompson said she has resolved more complaints and participated in more advocacy this past year than previous years.

“Not every state has a student loan ombuds/advocate," she said. “When there is a lack of clarity at the federal level, state level advocates and regulators can serve as a backstop for borrowers who have issues with the servicing of their student loans. I feel lucky to serve Oregonians in these times."

If you have questions about your student loans or issues with your loan providers, contact Thompson at 888-877-4894 (toll-free) or dfr.bankingproducthelp@dcbs.oregon.gov. Check a student loan servicer license at NMLSConsumeraccess.org.

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About Oregon DFR: The Division of Financial Regulation protects consumers and regulates insurance, depository institutions, trust companies, securities, and consumer financial products and services. The division is part of the Department of Consumer and Business Services, Oregon's largest consumer protection and business regulatory agency. Visit dfr.oregon.gov and dcbs.oregon.gov.